China, US Trade Talks Progresses
- Author: Rogelio Becker Jan 07, 2019,
Jan 07, 2019, 1:16
United States access to China to do business has been one of the key sticking points of the two countries' trade relationship, and President Trump has explicitly criticised the Made in China plan previously.
Trade negotiations could still be affected due to the diplomatic row following the arrest of Huawei's Chief Financial Officer Meng Wanzhou in Canada at the request of the USA for allegedly violating sanctions against Iran.
"There is an inconsistency between the USA acting as a locomotive for the world and the objective of the Trump administration's policy to reduce the trade deficit".
To try to compel China to reform its ways, Washington has imposed tariffs on $250 billion in Chinese imports; Beijing has counterpunched by taxing $110 billion in USA goods.
"We have a massive trade negotiation going on with China". American officials worry those might erode USA industrial leadership, and complain that China's technological prowess is underpinned by the theft of intellectual property from US firms.
"The negotiations next week are important because they will establish expectations, but we shouldn't expect major breakthroughs", said Mr Myron Brilliant, vice-president of global affairs at the US Chamber of Commerce. For the 2018 full year, Apple shares fell 7 percent, though they are up about 24 percent since Trump took office in January 2017.
Data this week showed a marked loss of momentum in the world's two largest economies at the end of past year.
Officials from the Trump administration will travel to Beijing for discussions to be held on Monday and Tuesday, with the ambition that both sides will be able to build on the agreement made in Buenos Aires.
The U.S. economy remains strong, with the country's 3.7 percent jobless rate at a almost five-decade low.
USA officials will travel to Beijing for talks on Monday and Tuesday next week, with China's Ministry of Commerce saying it hopes the talks will be "positive and constructive". They complain China's companies are treated unfairly in national security reviews of proposed corporate acquisitions, though nearly all deals are approved unchanged.
The U.S. -China trade war came about because of President Trump's controversial stand on the U.S. trade deficit between the two countries.
"Apple makes its product in China".
The two countries face a March deadline to resolve talks putting an end to the trade wars.
In addition to Gerrish, the official delegation will also include David Malpass, the Treasury Department's undersecretary for worldwide affairs.
Despite the December truce, "most firms expect trade war to escalate", the report said.